Algonquin Power and Utilities forays into JV and Purchase of 25% Interest in Atlantica Yield
Algonquin Power and Utilities Corporation asserted that it has completed formation of a joint venture with Seville, Spain-based Abengoa S.A. that will be focused on the development and construction of global clean energy and water infrastructure assets. The AAGES joint venture offers a balanced approach for APUC’s strategic entry into important global markets, capitalizing on Abengoa’s broad international presence and expertise.
APUC also declared that it has completed the purchase of 25% equity interest in Atlantica Yield plc from Abengoa for a total purchase price of approximately U.S. $608 million, based on a price of U.S. $24.25 per ordinary share of Atlantica, plus a contingent payment of up to U.S. $0.60 per share, payable two years after closing, subject to certain condition.
Chief Executive Officer of APUC, Ian Robertson said “We are pleased to be partners with Abengoa in AAGES, which provides APUC with a strong and risk-balanced entry into new international markets with a long-standing and experienced partner. As well, through Atlantica, APUC benefits from having an experienced international operator for new projects developed by AAGES as well as an interest in an attractively-priced portfolio of high quality, international operating assets that is accretive to APUC’s earnings and cash flow per share.”